• Q : What is the dollar amount of interest paid....
    Accounting Basics :

    Horizon Telecom sold $300,000 wor th of 120-day commercial paper for $298,000. What is the dollar amount of interest paid on the commercial paper? What is the effective 120-day rate on the paper?

  • Q : Effective annual rate of interest on the line of credit....
    Accounting Basics :

    The stated interest rate on the borrowed funds is 10%. What is the effective annual rate of interest on the line of credit?

  • Q : Taxable income of the two owners....
    Accounting Basics :

    Jen owns a sole proprietorship, and Steve is the sole shareholder of a C (regular) corporation. Each business sustained a $14,000 operating loss and a $3,000 capital loss for the year. Evaluate how

  • Q : What account would be debited and what would be credited....
    Accounting Basics :

    If you received the utility bill for $400 but the bill is not due until the 15th of the following month how would you journalize them? What account would be debited and what would be credited?

  • Q : Complete the journal entries for the year....
    Accounting Basics :

    The first of 20 annual principal payments is to be made June 30, 2012. Harris has a Calendar fiscal year. Complete or following journal entries for the year:

  • Q : Company basic accounting equation....
    Accounting Basics :

    Foster Inc. purchased a truck by paying $5,000 and borrowing the remaining $25,000 required to complete the transaction. briefly explain how this transaction affects the company's basic accounting e

  • Q : Complete the cvp income statement for the quarter....
    Accounting Basics :

    Bruno Manufacturing Inc. has sales of $2,371,200 for the first quarter of 2010. In making the sales, the company incurred the following costs and expenses. Complete the CVP income statement for the

  • Q : Proprietorship or a c corporation....
    Accounting Basics :

    Good Co. had a net loss of $75,000 from merchandising operations in 2007. Jane owns Good Co. and works 20 hours a week in the business. She has a large amount of income from other sources and is in

  • Q : Determine the payment option in a lottery....
    Accounting Basics :

    Jesse just won the state lottery. He has been given the option of receiving either $66.4 million today or $5 million a year for the next 30 Years, which the first payment paid today. Describe the pr

  • Q : What is the total direct labor variance....
    Accounting Basics :

    The standard labor rate is 12.00. The standard labor time for the Cutting and Sewing departments is 0.20 hour and 0.30 hour per unit, respectively.

  • Q : Amount of inventory that hastings should report....
    Accounting Basics :

    Hastings purchased $20,000 of goods that were shipped on December 27. FOB destination, that will be received by Hastings on January 3. Determine the correct amount of inventory that Hastings should

  • Q : What is the balance of miles capital account....
    Accounting Basics :

    What is the balance of Miles' Capital account at the end of the year after net income has been distributed?

  • Q : Problem on earnings per share and cash dividends for fiscal....
    Accounting Basics :

    For the fiscal year ended March 31, 2007, a company reported earnings per share of $3.25 and cash dividends per share of $0.50. During fiscal 2008, the company had a 3 for 2 stock split. In the annu

  • Q : What are the standard hours allowed....
    Accounting Basics :

    The Clark Company makes a single product and uses standard costing. Some data concerning this product for the month of May follow:

  • Q : Reported in the firms annual report....
    Accounting Basics :

    A firm's cash dividends were $3.96 per share of common stock for calendar 2006. In 2007 the stock was split 3 for 1, and in 2008 a 10% stock dividend was issued. Dividends per share for 2006, to be

  • Q : Falcons accounts receivable turnover rate....
    Accounting Basics :

    Falcon Corp. reported net sales (all on credit) of $1,600,000 and cost of goods sold of $1,100,000 for 2010. Its beginning balance of Accounts Receivable was $150,000. The accounts receivable balanc

  • Q : What is the materials price variance....
    Accounting Basics :

    The Alpha Company produces toys for national distribution. Standards for a particular toy are: what is the materials price variance ?  

  • Q : Federal income tax on time....
    Accounting Basics :

    Rita forgot to pay her Federal income tax on time. When she actually filed (without a valid extension), she reported a balance due. Compute Rita's failure to file penalty in each of the following ca

  • Q : What would be the total amount of overhead applied to work....
    Accounting Basics :

    Union Company uses a standard cost accounting system. The following overhead costs and production data are available for August:

  • Q : Incremental cost or savings....
    Accounting Basics :

    The manufacturing overhead consists of $16,000 of costs that will be eliminated if the components are no longer produced by Chapman. From Chapman's point of view, how much is the incremental cost or

  • Q : What was the amount of overhead cost....
    Accounting Basics :

    The Adlake Company makes and sells a single product and uses a standard cost system. During October, the company budgeted $300,000 in manufacturing overhead cost at a denominator activity of 20,000

  • Q : First-stage cost allocations....
    Accounting Basics :

    The basic difference between a first-stage cost allocation and a second-stage cost allocation is that cost pools are not used in first-stage cost allocations

  • Q : Beginning and ending inventory levels....
    Accounting Basics :

    Sartain Corporation is in the process of preparing its annual budget. The following beginning and ending inventory levels are planned for the year.

  • Q : What would be the standard hours allowed....
    Accounting Basics :

    Hart Company's labor standards call for 500 direct labor hours to produce 250 units of product. During October the company worked 625 direct labor hours and produced 300 units. what would be the sta

  • Q : Fraud and negligence penalties incurred....
    Accounting Basics :

    A court found that a portion of that deficiency constituted civil fraud ($80,000). Compute the total fraud and negligence penalties incurred. Explain your answer as necessary.

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